2023 is shaping up to be a remarkable year for entrepreneurs. With countries like Portugal, Cyprus, Malta, and the United Arab Emirates all taking steps to attract innovative talent from around the world, now is the perfect time to consider relocating your business.
Portugal, in particular, stands out as an attractive option for entrepreneurs seeking an international business-friendly environment with a vibrant culture.
In this blog post, we’ll explore the best countries to consider in 2023 and the benefits of each location.
Top countries to consider…
Portugal
You may have your heart set on Portugal for your business and are deciding whether it is the right country for you.
First and foremost, if you’re setting up your business in Portugal, there shouldn’t be many issues with understanding how the Portuguese tax system works, especially if you work with a reliable accountant, and for the most part, it will be straightforward and favour entrepreneurs.
Secondly, Portugal has a very good education system, so you should be able to build an excellent team around your company.
Thirdly, Portugal has become a thriving technology hub in recent years. The Web Summit, for example, which relocated to Lisbon in 2016, is a prime example.
Startups and tech companies are now established in Portugal, and the government has introduced some entrepreneurship-friendly policies, which may make starting a business in Portugal a great idea. Many expats and international companies are making the most of what Portugal has to offer entrepreneurs in Lisbon, Porto, and Braga.
Last but not least, the Portuguese speak good English, the climate is second to none in Europe, and you will have the chance to enjoy a quality of life that is unparalleled in the world.
Cyprus
There is no withholding tax in Cyprus, making it a low tax jurisdiction in general. Second, Cyprus has a corporate tax rate of 12.5% on international income. Third, there is no tax on transfer of shares, and fourth, Cyprus accepts invoices from offshore companies, a rare practice in the EU.
Additionally, there are advantages such as economic stability, harmonised corporate laws with EU laws, low incorporation fees, and a quick incorporation process. A network of lawyers, accountants, and banks is also available. The country is at the crossroads of Europe, the Middle East, and Africa, and has numerous Double Taxation Agreements.
Malta
As a result of Malta’s great business climate and thriving economy, as well as its developed infrastructure, the country offers many opportunities for starting a business. A big advantage of investing in the country is that it has one of the cheapest skilled work forces in Europe.
Foreign companies also benefit from not having to pay high taxes and will only be liable to register for value added tax. Its taxation system draws foreign companies to Malta because it offers different incentives for bringing business to the country. Malta has the lowest tax rates in Europe, making it a tax haven for foreigners. Malta is also an EU member and subject to its laws, making it more reliable due to its high credit rating.
Unlike many other countries, Malta does not require licenses for doing business. Besides finance and medical industries, most other industries are not heavily regulated.
UAE
In addition to being a nexus between the East and West, Dubai is in the heart of the triangle between Africa, the Middle East, and Asia. Two-thirds of the world’s population can be reached through flights of eight hours or less. As a result of Dubai’s rapid growth, strategic location, and welcoming business culture, it enjoys a reputation among foreign investors as a place to do business. With the country’s focus on ranking at the top, many of the “smart” services available to UAE-based businesses streamline the process.
In these efforts, many bureaucratic procedures will be implemented as part of the UAE Blockchain 2021 Initiative. One of the hallmarks of UAE business culture is the simple business set-up, one of the reasons for many of our clients to come to us. One of the reasons why doing business in Dubai is easy is because there are many company options available. Any company can benefit from the following benefits A zero-tax regime, which means there is no corporate or personal income tax. Safe and robust governance, as well as, a world-class financial hub.
Are you ready to be an entrepreneur overseas?
Starting a business is one thing, but to set up an office overseas is something else. An important preliminary consideration before deciding if you should expand to Cyprus, Portugal or anywhere else, is figuring out whether you could live overseas.
This phase of introspection is important. If you plan to work abroad, you’ll need to consider how much of your travels, friends, and family your children are exposed to and whether you plan to be big on home life. Will you be able to live far from the ones you love? Will you be moving on your own or with your family? Before expatriates start a new business abroad, they usually think through these same sorts of questions.
Expatriate entrepreneurs typically migrate to their destination country due to their experience and network obtained while traveling and working there at the time of their establishment. Typically, they will have built a strong base of contacts in the country and developed a thorough understanding of the local culture, having thought through a solid business plan accordingly.
Though it might not seem like they take on too many adventures, as specialists, and if they do not necessarily have much technical know-how, they have the social-cultural background and the professional network to be highly successful. That background makes for a lot of ease in running and growing a business.
Set up your business plan first
The business plan is a document that formally and formally defines the company’s strategy and actions. This includes the project definition, its strengths and weaknesses, the marketing study, the sales and marketing strategy, the financial study, and the company’s legal status.
In researching the market, you will know what the company does best, then in this stage of the process, you’ll have a more in-depth understanding of what the company’s needs are.
The time required for drawing up a business plan cannot be improvised; this project will typically take two to six months to be successfully launched in the country where the business operates, and the timeframe will depend on the nature of the business activity.
When starting a business abroad, more time and effort is often needed and visa issues may contribute to an additional degree of complexity. This is why you should take time to develop a quality business plan carefully.
Some people may use a professional’s time for the process of preparing an exit strategy, but this is not necessarily the best idea. You can call on a team of professionals in the expat country (legal, accounting, etc) for advice. Nonetheless, it is crucial to be actively involved in the preparation process since the business plan will have to reflect your business’s successes and shortcomings.
You won’t need to be a legal expert in a foreign country, nor will you need to know all of its planning laws or accounting specifics; however, you will need to be well-versed in the different stages of your company’s formation in the host country and be able to thoroughly speak on your business activity, why a given region in the country would be better suited to it.
Let us help you set up your business in Cyprus, Portugal, the UAE or Malta
Are you wanting to set up your own business abroad? Well RHJ Law can help you to incorporate your business and set you up with necessities like corporate bank accounts and tax returns.
Incorporate a company
RHJ Law can help you to set up your company with tools such as business plans and fiscal representation.
Incorporate a branch
Alternatively if you are wanting to set up a branch of an existing company, we can help to ensure you have all the appropriate paperwork and certifications.
